Mexican conglomerate Fomento Económico Mexicano (Femsa) has started cutting jobs in its fintech unit Spin, the company confirmed. The layoffs form part of a broader strategy shift as the firm refocuses on its core retail operations.

Spin launched a digital wallet app in 2021, offering payment and financial services for consumers. The platform aimed to expand digital financial tools in Mexico’s fast-growing fintech market.

However, Femsa said the job reductions reflect a new phase of its strategy, which prioritizes strengthening its network of Oxxo convenience stores, one of the company’s most important businesses.

A company spokesperson explained that the restructuring mainly affects support functions. The firm also emphasized that the changes will not impact customer operations within the Spin platform.

Consequently, the company expects its digital wallet services to continue operating normally despite the internal restructuring.

📉 Hundreds of Positions Reportedly Affected

Femsa did not publicly disclose the exact number of jobs eliminated. However, reports indicate that hundreds of positions may have been cut across several divisions, including Spin.

The layoffs highlight the challenges companies face when expanding into financial technology. While fintech services have grown rapidly across Latin America, competition remains intense and business models continue evolving.

Meanwhile, many companies are adjusting their strategies to balance digital innovation with profitable core operations.

Therefore, Femsa’s decision reflects a broader industry trend in which firms refine fintech investments after rapid expansion.

📱 Spin’s Role in Mexico’s Digital Payments Market

Femsa introduced Spin by Oxxo to combine digital payments with its large network of physical retail stores. The company envisioned a platform where customers could pay bills, transfer money, and store funds digitally, while still accessing services through local Oxxo outlets.

Mexico’s retail economy still relies heavily on cash transactions. As a result, the company aimed to bridge the gap between traditional cash payments and modern digital financial services.

However, the latest strategic shift suggests Femsa is reassessing how quickly it expands its fintech operations.

🏪 Company Delays Some Fintech Expansion Plans

In its recent financial updates, Femsa said it would delay its application for a banking license linked to Spin. The company plans to wait until it sees stronger momentum in its consumer credit services.

The company also confirmed it will stop searching for third-party partners for its Premia loyalty program, which operates through the Spin platform.

These decisions indicate a more cautious approach toward expanding financial services. Meanwhile, Femsa continues focusing on strengthening its retail operations and improving efficiency across the business.

Consequently, the restructuring reflects the company’s effort to balance innovation with long-term profitability.